▲ SK Hynix
The management and labor union of SK Hynix have reached a tentative agreement on wages and collective bargaining after two months of negotiations, but it was voted down by union members just five days later, sending both sides back to the negotiation table.
According to the industry on today (the 25th), the production worker union of SK Hynix announced that an electronic vote held among its members on the tentative agreement—which concluded at 9 a.m. today—was rejected with 50.08% (7,535 voters) voting against it.
The approval rating stood at 49.92% (7,510 voters), splitting the vote by a razor-thin margin of just 25 votes.
The voter turnout reached 93.81%, with 15,045 out of the 16,083 total union members from the production sites in Icheon and Cheongju participating.
The vote took place from 6 a.m. yesterday (the 24th) to 9 a.m. today, focusing on the tentative agreement for the 2026 wage and collective bargaining.
Although a majority of registered union members cast their ballots, the agreement was rejected as a majority of those who voted opposed it.
Separately, the technical and office worker union is also currently conducting its own vote.
Each union negotiates independently with management, and the voting results are reflected accordingly. Following the rejection by the production worker union, that branch will enter into renegotiations with management.
Previously, SK Hynix management and labor reached a tentative agreement on the 20th, which included a 6.3% wage increase, paying 40% of the Profit-Sharing (PS) bonus in cash, and providing the remaining 60% in company shares.
Under the plan, 40% of the distributed shares can be sold in the corresponding year, while 20% will be deferred and paid out at 10% per year over two years.
However, for the PS portion for 2026 to be paid out early next year, members were given the option to choose cash for the share portion that is normally eligible for sale in the same year.
Consequently, up to 80% of next year's payout can be received in cash.
This vote resulted in an ultra-tight contest with approval and opposition running neck and neck.
In particular, dissatisfaction is analyzed to be substantial regarding the shift from the traditional cash-centered payment method to a partial company-share scheme, coming just one year after labor and management agreed to maintain the performance-based bonus payment system for 10 years.
Concerns that the proportion of stock payouts could increase in subsequent years—despite the option to receive up to 80% in cash for next year's payout in its first year of implementation—appear to have driven the votes against the agreement.
The fact that actual compensation values could fluctuate depending on stock price movements was reportedly also perceived as a burden by members.
At the same time, favorable public opinion was not insignificant.
Analysts point out that positive evaluations were given to the 6.3% wage hike rate—higher than that of Samsung Electronics (6.2%)—the maintenance of the broad framework of the existing bonus system such as the abolition of the PS funding cap, the option to receive up to 80% in cash for next year's payout, and strengthened welfare benefits.
However, with the tentative agreement rejected, labor and management are expected to return to the negotiation table to adjust the bonus payment methods and other terms.
Given that negotiations have already spanned two months and that differences in opinions regarding the previous agreement and the new bonus system remain sharp, negotiations could potentially be prolonged before reaching a final settlement.
The SK Hynix production worker union has previous precedents of entering renegotiations with management after tentative wage agreements were voted down in 2023 and 2024 as well.
Meanwhile, the SK Hynix integrated labor union, which was launched on the 13th, is expected to formulate countermeasures in response to the rejection of this tentative agreement.
The integrated union, which has 3,425 members, recently sent an official letter to management requesting a detailed explanation and sharing of the wage negotiation contents, future negotiation schedules, and procedural plans.
(Photo: Yonhap News)
※
Copying, redistribution, and unauthorized use in AI training are strictly prohibited.